Using Smart Money Concepts on XAUUSD
This article explains how to use the A.K Pro Trader's Smart Money Concepts indicator to read structure, liquidity and fair value gaps on Gold (XAUUSD).
1 – Start with higher timeframe structure
- Begin on H4 or H1 to map the main trend – bullish, bearish or ranging.
- Use the indicator's structure labels (HH, HL, LH, LL) to see how price is stepping higher or lower.
- Mark the most important swing highs/lows that started large impulsive moves.
2 – Identify liquidity and sweep zones
- Look for equal highs/equal lows, Asian session ranges and obvious retail trendlines.
- The SMC indicator highlights likely liquidity pools where stop hunts are common.
- Expect sharp moves into these zones before the real move continues.
3 – Use Fair Value Gaps (FVGs)
- FVGs show areas where price moved quickly and left an imbalance between buyers and sellers.
- On XAUUSD, price often revisits these zones before continuing in the main direction.
- Combine FVGs with structure and liquidity – don't trade them in isolation.
4 – Execution on intraday timeframes
- Drop to M15/M5 once the higher timeframe bias is clear.
- Wait for a shift in structure (break of a key swing) inside your HTF zone.
- Use the indicator's POI/zone tools alongside your own entry model (limit orders or confirmation candles).
5 – Risk management
- Keep risk per trade small and consistent – especially on Gold.
- Place stops beyond the obvious liquidity or POI – not directly on equal highs/lows.
- Use clear invalidation: if structure or liquidity picture changes, accept the loss and move on.
Indicator Review – Smart Money Concepts
The SMC indicator is designed for traders who already understand basic Smart Money Concepts and want a cleaner view of structure shifts, liquidity sweeps and premium / discount zones.
Who it suits best
- Gold traders who like to combine price action with SMC-style analysis.
- Traders who want the chart annotations done for them, but still want control over entries and exits.
- Those who prefer rules and context over chasing indicators that flash random arrows.
Key strengths
- Automatically marks structure, liquidity sweeps and displacement.
- Helps you focus on where smart money is likely active instead of random retail patterns.
- Pairs perfectly with the Toolkit and Multi-Timeframe Key Levels indicators.
Disclaimer
These guides and A.K Pro Traders indicators are provided for educational and informational purposes only. They do not constitute financial advice or a solicitation to trade. Trading involves substantial risk – you may lose some, all, or more than your initial investment. Past performance is not indicative of future results. You are solely responsible for your trading decisions. Always practice sound risk management, perform your own research, and consider speaking with a licensed financial advisor before making investment or trading decisions.
